Companies /Consumer Cyclical

Brinker International Inc

NYSE: EAT Restaurants
$233.22
▼ $7.71 (−3.20%) today
Markets closed · 3:14am ET

Q3 2025 Earnings

Reported Apr 29, 2025, 8:07am ET · SEC source
$2.66
Beat +3.59%
EPS · est. $2.57
$1.4B
Beat +2.67%
Revenue · est. $1.4B
+19.8%
Beating market
EAT vs S&P since report
1 quarter
Consecutive EPS misses

Market Reaction

% change · around the report
−7%0+7%Apr 29Apr 30report 8:07am ETearnings+0.1%−8.9%
−7%0+7%Apr 29Apr 30earnings+0.1%−8.9%
EAT −8.9%S&P 500 +0.1%
−8%−4%0Apr 29Apr 30report 8:07am ETearnings+0.1%−8.9%
−8%−4%0Apr 29Apr 30earnings+0.1%−8.9%
EAT −8.9%NASDAQ +0.1%
−16%−8%0+8%Apr 28May 7report 8:07am ETearnings+2.2%−7.5%
−16%−8%0+8%Apr 28May 7earnings+2.2%−7.5%
EAT −7.5%S&P 500 +2.2%
−16%−8%0+8%Apr 28May 7report 8:07am ETearnings+2.6%−7.5%
−16%−8%0+8%Apr 28May 7earnings+2.6%−7.5%
EAT −7.5%NASDAQ +2.6%
−14.80%
Day of report
−1.89%
Next session
−2.13%
One week
+26.11%
30 days

S&P 500 over the same 30 days: +6.33%.

Did EAT Beat Earnings? Q3 2025 Results

Brinker International turned in a standout third quarter of fiscal 2025, beating Wall Street on both the top and bottom lines as Chili's value-focused turnaround strategy continued to gain momentum. Non-GAAP diluted EPS came in at $2.66, clearing the $2.57 consensus estimate by 3.59%, while revenue of $1.43 billion exceeded expectations by 2.67% and climbed 27.2% year-over-year. The central driver was a 31.6% surge in Chili's comparable restaurant sales, powered by a remarkable 20.9% traffic increase that underscored genuine consumer demand for the brand's value positioning, including its widely promoted "$10.99 3 for Me" offering. That volume translated directly into margin expansion, with restaurant operating margin rising to 18.9% from 14.2% a year ago and adjusted EBITDA nearly doubling to $220.60 million. Brinker also used the quarter's strong cash generation to repay $125.00 million in funded debt. Looking ahead, management raised its full-year fiscal 2025 guidance, now projecting total revenues of $5.33 billion to $5.35 billion and non-GAAP EPS of $8.50 to $8.75.

Key Takeaways
  • Chili's comparable restaurant sales increased 31.6% driven by 20.9% traffic growth
  • Advertising highlighting industry-leading value and encouraging guest trial
  • Operational improvements driving repeat visits
  • Menu pricing contributed 4.4% to comparable sales growth
  • Favorable menu item mix-shift contributed 6.3% to comparable sales growth
  • Sales leverage drove operating income margin expansion to 11.0% from 6.2%
  • Restaurant operating margin improved to 18.9% from 14.2%

“Chili's delivered another positive quarter in our turnaround with +31% same store sales driven by +21% traffic. Our continued progress on the fundamentals of great food, great service in a fun, friendly atmosphere is clearly winning with guests.”

Brinker International CEO, on the earnings call

Forward Guidance & Outlook

Brinker updated its full-year fiscal 2025 guidance: total revenues expected in the range of $5.33 billion to $5.35 billion; non-GAAP net income per diluted share expected in the range of $8.50 to $8.75; capital expenditures expected at $265.0 million to $275.0 million; weighted average diluted shares expected at 46.0 million to 46.5 million. Revenue guidance is based on sustained elevated sales levels consistent with the company's recent trends. The company projects 35-38 total new restaurant openings for fiscal 2025. Fourth quarter fiscal 2025 earnings release is scheduled for August 13, 2025.

EAT YoY Financials

Q3 2025 vs Q3 2024 · SEC filings Q3 2024 Q3 2025
$0$400.0M$800.0M$1.2B$1.1B$1.4BRevenue$69.9M$156.9MOperating Income$48.7M$119.1MNet Income
$0$400.0M$800.0M$1.2BRevenueOperating IncomeNet Income

EAT Revenue by Segment

Chili's$1.3B+30.5%
Maggiano's$121.0M+0.2%

Figures from SEC filings and company reports. Not investment advice.